Amway India Controversy - A Case Study

March 29, 2018 | Author: David Varghese | Category: Multi Level Marketing, Marketing, Business Economics, Business, Sales


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A case study on “Amway’s Multi-level Marketing Experience in India”By: David, Madhavi and Sajith Amway‟s Multi-level Marketing Experience in India Page 1 The case 'Amway’s Multi-level Marketing Experience in India' examines in detail the operations in sales and distribution of Amway in India & the issue they had to face in Kerala, India. The government of Kerala filed case against Amway alleging crimes that it is illegal. How bad was the situation and how will Amway tackle it- is the discussion point of this case. Prepared by, David Varghese, Madhavi Gupta & Sajith P Kumar (Students IIM Indore, RAK Campus, 2011-2013) Amway‟s Multi-level Marketing Experience in India Page 2 2011 the sixth consecutive year of growth for the company. The quality of the product is Amway's strength. and home care markets. water purifiers.9 billion for the year ended December 31. Michigan.S. police raids have been conducted in Amway offices across Kerala state. Amway reported sales growth of 17%. India. “At last India government is waking up and bureaucracy is at least taking complaints on fraudsters and dream sellers!” – This was the public opinion. 32 and 28 among the largest private companies in the U. Amway was founded in 1959 by Jay Van Andel and Richard DeVos. Based in Ada. Amway India President Mr. Kerala has been quite stringent on Multi-level marketing (MLM) companies historically. Amway was ranked No. jewelry. primarily in the health. Else this will affect their whole business in India Amway: Amway (short for American Way) is an American multinational direct-selling company that uses multi-level marketing to sell a variety of products. William Pinckney and his team were facing a tough situation. 2010 and 2011 respectively.Amway’s Multi-level Marketing Experience in India "Our biggest challenge is not how to expand the market in India. why so many alterations? Why a company‟s senior members are booked in heavy offence cases? The issue seems to be surrounding at an incident where an IBO was reportedly advised to buy hefty amount of products and returns weren‟t accepted. They do not even want themselves to be called an MLM company. Of course they still have renewal fee in the form of Rs. exceeding USD$10.39." . They have to resolve this issue as soon as possible. insurance and cosmetics. beauty. the company today is a multibillion-dollar international business representing freedom and opportunity to millions of people in more than 92 countries and territories around the world. There were troubles for other MLM companies such as RCM and RMP. On 9th November 2012. This was not the first time such raids were happening in Amway offices in Kerala. Amway‟s Multi-level Marketing Experience in India Page 3 . CEO & MD. Due to these raids Amway abolished the joining fee and also changed PV activation rules. Its product lines include home care products. 795. electronics. There should be more to the list. 4500 odd joining cost.Sudershan Banerjee.through this global product distribution network. So if everything were legitimate in Amway. Amway India in 1999. but how to convince the indifferent Indian consumers about the world-class quality of Amway Products. air purifiers. by Forbes in 2009. personal care products. The issues were not fixed when they abolished Rs. Nutrilite dietary supplements. and changed its name to Amway Manufacturing Corporation. International expansion: Amway expanded overseas to Australia in 1971. to India and Scandinavia in 1998. Their first product was called Frisk. The Company is headquartered at the National Capital Region of India . and a sailing business.History: Jay Van Andel and Richard DeVos. had been business partners in various endeavors including a hamburger stand. to parts of Asia in 1974. In August 1949. which is internet based selling. In 1960 they purchased a 50% share in Atco Manufacturing Company in Detroit. Amway‟s Multi-level Marketing Experience in India Page 4 .New Delhi. and Amway Services Corporation to handle insurance and other benefits for distributors (Amway being an abbreviation of "American Way"). 1998 and is now the largest Direct Selling FMCG Company. DeVos and Van Andel bought the rights to manufacture and distribute Frisk. friends since school days. a concentrated organic cleaner developed by a scientist in Ohio. In 1999 Amway launched a company called Quixtar. Amway bought control of Nutrilite in 1972 and full ownership in 1994. was established in August 1995 after approval by India's Foreign Investment Promotion Board (FIPB). to Africa in 1997. They sold their first box the next day for $19. to China in 1995. Amway India: Amway India. In April 1959. Amway Services Corporation. after a night-long talk. rather than from their up line "direct distributor". Nutrilite was a California-based direct sales company founded by Dr. Amway Corporation. air charter service. Carl Rehnborg. to Russia in 2005. and Amway Manufacturing Corporation merged to form a single entity. They subsequently formed Amway Sales Corporation to procure and inventory products and to handle the sales and marketing plan. the original manufacturers of LOC. and to Vietnam in 2008. to Latin America in 1985. and later changed the name to LOC (Liquid Organic Concentrate). and have products shipped directly to their home. a wholly owned subsidiary of Amway Corporation.50. they formed The American Way Association to represent the distributors and look for additional products to market. Thus they were introduced to multi-level marketing. In 1964 the Amway Sales Corporation. to Europe in 1973. to Japan in 1979. developer of the first multivitamin marketed in the United States. The main difference was that all "Independent Business Owners" (IBO) could order directly from Amway on the internet. In 1949 they were introduced by Neil Maaskant (Van Andel's second cousin) to the Nutrilite Products Corporation. Amway India commenced commercial operations on May 5. DeVos and Van Andel signed up to become distributors for Nutrilite food supplements. Amway India is also a member of the Confederation of Indian Industries (CII) and Federation of Indian Chambers of Commerce (FICCI). mineral. grown harvested. They carry a tamper-proof seal and a „100 per cent Money Back Guarantee'. and are not tested on animals. With the exception of Cosmetics range and some products in Nutrition and Wellness category. Persona: Persona Premium 3 in 1 Soap is a complete soap for the entire family promises refreshing confidence. formulated internationally is designed to deliver the ultimate grooming experience. Amway India has 400 full time employees and has generated indirect employment for 1. is IDSA‟s Ombudsman & Code Administrator. Page 5 Amway‟s Multi-level Marketing Experience in India .5 million Amway Business Owners and prospects. Amway India offers over 130 products in five categories. They are Personal care category. US $ 6 million in the form of direct foreign investment. Some of the product lines of Amway India are mentioned below. replenish & moisturize the skin making it soft & supple. Product Segments in India: At present. Dynamite: Dynamite's range of male grooming products. Amway products are environment friendly. A Mumbai-based consumer rights activist. Home Care category. SA8: SA8 Gelzyme is India's only 3-in-1 laundry detergent which pretreats cleans and softens. Amway encourages the return of its used product bottles for re-cycling and to prevent their misuse.650 persons at all the contract manufacturer locations. and dietary supplements. The IDSA is an industry regulatory body. Glister: Glister Toothpaste is a revolutionary Multi-Action Toothpaste with Sylodent that offers seven benefits. Amway India conducted over 34. Amway India provides free and unlimited training to all its distributors to help them grow their business. Asha Kidnani.000 training sessions during in the past 12-months with an attendance of over 1. Nutrition & Wellness category. Artistry: one of the world„s top five largest-selling prestige brands of facial skin care and color cosmetics. Cosmetics and Great Value Products.Amway has invested in excess of US $ 35 million in India of this. Satinique: Satinique Advanced Range with unique Ceramide Infusion System uses nature's own renewing technology to rejuvenate. Attitude: All products of Attitude contain skin vitalizing Complex that synergistically combines to cleanse. Amway offer a wide variety of products ranging from health supplements to tooth brush. (Exhibit 1)         Nutrilite: world„s leading brand of vitamin. Amway India is a member of the Indian Direct Selling Association (IDSA). with several reputed international and Indian Direct Selling companies as members. The products match Amway‟s global quality standards. all Amway India products and bottles are manufactured in India. strengthen and protect your hair. and processed on its own certified organic farms. Announcing the annual turnover. Amway India ranks among the top FMCG companies in India .    G & H: G&H Range enriched with the goodness of Glycerin and Honey. Dish Drops: Dish Drops is a concentrated hand dishwashing liquid with a powerful "Triadic Detergency System". penetration of products in semi urban and rural markets of the state and the tremendous effort put by the distributors. deeply nourishes and hydrates the skin for a healthy glow. 2130 crore for the fiscal year 2011. we have earmarked Rs. Great Performance. 53 crores towards advertising". are made in India Renowned for its strong R&D centers in Michigan Around 600 patents The focus is more on their nutrition and wellness products Page 6 Amway‟s Multi-level Marketing Experience in India . Some Quick Facts: • • • • • • • Direct selling portfolio contains 450 products Promotes over 3000 products through catalogue sales Sells products from other vendors also About 85% of the products the company sells in India. Pinckney added. Amway India Financials: Amway India clocked a turnover of Rs. "This year. Great Value Products: Great Value Product Range offers you Great Quality. with a growth of 19 per cent over the previous fiscal when it recorded a turnover of Rs. Our advertising and E-commerce initiatives have also led to enhanced visibility of the Amway brand and in contributing to a healthy growth". William S Pinckney. The company aims to cross the Rs 2500 crore mark in 2012 (data not available). "The double digit growth for the last four years is buoyed by the launch of world class superior quality products in the lead categories of Health & Beauty.a feat achieved in a span of thirteen years. MD & CEO of Amway India said. increased consumer access strategy coupled with experiential marketing & brand awareness. Great Price and a Money Back Guarantee. LOC High Suds: LOC High Suds is a multipurpose household liquid cleaner. Amway being a direct selling FMCG company has realized the importance of advertising & marketing to further strengthen its foothold in the Indian market. From a turnover of Rs 99 crores back in 1998 to the robust turnover of Rs 2130 crores – Amway India has grown twenty times. 1790 crore. There are around 500. Amway India has established a nation-wide presence of over 135 offices and 55 city warehouses and four regional mother warehouses (at Bangalore. Almost all Amway India products are manufactured in the country through seven third party contract manufacturers. From offices. Amway has invested in transfer of state-of-the-art. To bring the identified contract manufacturers‟ production facilities and skills to international standard.Sales & Distribution Supply Chain in India: In thirteen years of commercial operation. The manufactured products go to the central warehouses. Kolkata. Mumbai). The raw materials for the products reach to the Amway manufacturing centers. Delhi. The distribution channel is shown in the figure given below. Amway‟s Multi-level Marketing Experience in India Page 7 . From there it is distributed to the local offices. The distribution and home delivery network set up with the support of independent logistics partners is spread across over 5500 locations. the Amway Business Owners (ABO) collects the products and sells to the end customers.000 Amway Business owners in India. world-class technology to the contract manufacturers free of cost. websites. DVDs. for example. Amway‟s Multi-level Marketing Experience in India Page 8 . Amway provides training to the IBOs on products and business skills through the sale of "business support materials". at their work place and other places away from the permanent retail locations. and business conventions. "Independent Business Owners" (IBOs) or “Amway Business Owners” may market products directly to potential customers and may also recruit (sponsor) and train other people to become IBOs. Both are compared in the figure below. Direct Selling: Direct selling is the marketing of consumer products/services directly to the consumers generally in their homes or homes of others. books. seminars. It is completely different from traditional marketing methods. People may also register as IBOs to buy products at discounted prices. IBOs may earn income both from the retail markup on any products they sell personally.Amway Business Model: Amway combines direct selling with a multi-level marketing strategy. plus a performance bonus based on the sales volume they and their down line (IBOs they have sponsored) have generated. usually through explanation or demonstration of the products by a direct seller or by mail order sales. CDs. Fast moving consumer goods targeted at niche markets such as specialist cosmetics or premium fragrances were typically the most suitable for a MLM setup. and were neither too expensive nor cheap. As the distributor's primary commission was a mark-up on the selling price. the distributors were given the next lot. These distributors in turn. Amway Sales and Marketing Plan: The Amway Sales and Marketing Plan is a low risk. can retail products and offer the business opportunity to others. the rewards you earn grow in proportion. As your Amway business grows. in turn. By passing your sales and marketing knowledge to your developing team. which were neither purchased very often nor rarely. paid commission to the 'down-the-line' distributors out of their own earnings. The more a distributor sold. The core of the Amway Sales and Marketing Plan's income opportunity is the sale of quality AMWAY products to retail customers. the actual cost of marketing never exceeded 25% of the selling price on an average. the compulsion on the part of the distributors to recruit more and more distributors led to its network penetrating very deep among the consumers. a proportion of the commissions earned by other distributors recruited. the distributors were also expected to hire new distributors for selling the company's products. Also. Products. which averaged at 9% and at peak levels stood at 21%. for instance vacuum cleaners. Besides selling the goods. the higher the commission. could be marketed well through this system. The recruiting distributor also got an extra commission based on the sales affected by the distributors hired by him/her. business opportunity that is open to everyone. As for the company. Amway‟s Multi-level Marketing Experience in India Page 9 . None of them used employees to sell products directly to consumers. Also. MLM thus completely bypassed the retail chain and cut costs of the traditional distribution system. A typical MLM setup began with the recruitment of a group of distributors who paid a registration fee and picked up product kits. These distributors earned commissions at two levels . Once these goods were sold. and second. the only outgo for the MLM team was the commission. The Amway Sales and Marketing Plan do not compensate anybody for simply recruiting others as Amway Business Owners.Multi-level Marketing (MLM): The MLM system utilizes a multi-tiered sales force of independent distributors to sell. helped a lot. you not only build your own business network but also enable others to build one of their own. if the products were portable and needed to be demonstrated. the personal interaction that MLM facilitated. the difference between the distributor's cost and selling prices. It allows people to build their business through retailing products and sponsoring other people who.the first. Most of the products that the distributors bought had been consumed themselves. Estimates put the percentage of self-consumption at almost 50-60% of the total volume. but rivals and ex-employees put the figure at over 5%. Company sources claimed that the returns constituted just 1% of the total strength. Amway‟s Multi-level Marketing Experience in India Page 10 . Of the total distributors. Some areas of concern for Amway India: The company had become synonymous with network marketing or multi-level marketing (MLM). Media reports were quick to point out Amway's failure to sell the basic concept of direct selling to the Indians. Many people who joined in the initial frenzy returned the product kits within the first month.The selling process of Amway is depicted in the diagram below. (There were rumors that some distributors enrolled just to take advantage of the distributor's margin of 18-30%). only about 10% showed reasonably high levels of activity. the attrition rate was at an alarming high of 60-65%. Though the company managed to rope in a substantial number of distributors.  A lot of Amway strategy in India is based on the trial-and-error experiences.  In developing economies like India.Some more Areas of Concern:  People began to perceive that products were expensive and only for premium segment.  The problems like distributor attrition.  The company treated direct selling as another promotional tool while it was mainly about motivation.  There was no job security for job in MLM.  Like other multinationals. a false 'premium' image and customer dissatisfaction soon began surfacing. an intrusion into one's privacy. Amway also been guilty of misjudging the Indian market at times. Amway‟s Multi-level Marketing Experience in India Page 11 .  The very concept of network marketing was being threatened by the growing popularity of ecommerce and the Internet. awareness levels were comparatively low.  Sale person were poorly trained and lack in motivation.  Amway had to deal with the negative attitude of many Indians to direct selling.  Poor customer Service. Direct selling was typically seen as unwelcome. the Economic Offenses Wing of the Crime Branch. And when the Amway India filed a special petition in the Supreme Court of India. Crime Branch has registered a case against directors of the company and sealed the godowns. police had shut down Amway offices all over Kerala. the case against Amway has been registered under sections of the violation of Prize Chits and Money Circulation Schemes (banning) Act. Amway‟s Multi-level Marketing Experience in India Page 12 . It may be recalled that Andhra Pradesh High Court has already held that the business model of Amway India is illegal and police have powers to stop such business. The case was registered after receiving complaint from a woman who was allegedly cheated by the multi-level marketing company.The Controversy: On 10th November 2012. the money was not returned. 32 lakh rupees from Kochi.5 crore rupees from Thrissur. Crime Branch officials said.5 lakh rupees from Kozhikode and 22 lakh rupees from Kannur. In 2008 a judge in the United Kingdom threw out a case against. 10. Kerala police conducted raids on the nine premises of Amway India in Kerala following criminal cases against the multilevel marketing company filed by several persons. Crime Branch received a complaint from Vishalakshi. Thrissur.14 crore rupees. Economic Offenses Wing. the Apex Court upheld the judgment of Andhra Pradesh High Court. But since she could not sell them. the judge in that case rejected the settlement and the case remains open amid questions about the terms of the settlement and the proposed attorney‟s fees. During the raid. raided the offices and godowns of Amway in Kochi. Kerala. Kozhikode and Kannur (these are districts in Kerala) and seized products worth 2. Previous Instance: On 6th August 2011. who bought products worth 3 lakh rupees . a native of the city. However. Still. the company is still practicing the same business model for quite some time on the pretext that there were no complaints.was asked to sell them through multi-level marketing. The dismissal of the case came only after the judge decided Amway had reformed its business practices in the country. officials seized products worth 1. The case has been registered against directors of the company who reside in New Delhi. Amway in which the company had been charged with misrepresenting its business and putting the sales of training "tools" ahead of selling products. Similar Issues in other countries: In 2010 the company agreed to settle a long-running suit in California alleging it was a pyramid scheme by agreeing to pay $56 million without admitting guilt. and no further recruitment of additional participants can be made at lower functional levels. “We are surprised at false information is being spread here in Kerala about Amway.” Clark said. That's often difficult where you have people who operate unethical businesses in the direct selling business. because ultimately. 1978. MLM has recently come under the judicial scrutiny in some High Courts across the country. in the absence of a comprehensive regulatory framework approaching the issue. This structure is inherently flawed. At the heart of the criticism against the structure of the MLM is that it very closely resembles the „pyramid‟ scheme. “We're doing an ethical business. The dispute involving Amway was heard by the Andhra Pradesh High Court in 2007. “We're trying to educate and inform them. long-term unsustainability and the uneven distribution of the benefits and costs in the event of the success or failure of the strategy. Multi-Level Marketing and Indian Law: While on the one hand it could arguably be a successful marketing strategy. which has become one of Amway's top 10 markets in terms of sales. MLM has drawn the criticism and the attention of regulators across several jurisdictions. for the large part. Clark said actions by authorities in Kerala do not affect operations in the rest of India. and liable to be rendered ineffective by slight variations in practice. any legal response is merely piecemeal. “You have to sell products to make money. We stand committed to the ethics of legitimate direct selling. Amway‟s Multi-level Marketing Experience in India Page 13 . The primary legal framework governing such situations is the Prize Chits and Money Circulation Schemes (Banning) Act. The problem is further aggravated by the fact that MLM is not basically. a concept. the regulatory framework governing MLM is still deplorably underdeveloped. it has underlying concerns of being an unfair trade practice. under which „Money Circulation Scheme‟ is defined [Section 2(c)].Response from Amway India: Amway spokeswoman Andrea Clark confirmed the shutdown and said the company is working with authorities to resolve the issue. it will necessarily fail when a level of saturation is reached. In a press statement to The Economic Times of India. which involves creating an increasing market based on increasing outreach. in which higher levels are supported by a geometrically larger lower functional level. subject to flexibilities in its practice and adoption. Therefore." Pinckney said.” She said the company's business model may not be for everyone. Amway India President William Pinckney denied any wrongdoing. although. The company has said it is considering building a new factory in India to serve the local market.” she said. but the Amway offers all of its distributors a full money-back guarantee. in another verdict. the scheme is structured in a manner such that inherently. However. and second. which require aggressively recruiting new members. has pronounced very strongly against pyramid structures (in Kuriachan Chacko. very simply. Amway‟s Multi-level Marketing Experience in India Page 14 . it can be observed that in effect. The returns of any sponsor are calculated not only on the basis of his own sales. This was recognized by the High Court. minimum business levels have to be maintained. although enrolment of new members is not the purported criteria for the scheme. if one follows a technical and restricted approach. 2008). on a closer scrutiny. This decision has been appealed. While the jurisprudence on the matter is yet to be developed. Therefore.The Court. Adequate regulatory framework on the issue of direct selling and multi-level marketing is urgently needed. it is identical. The scheme of the business operation of Amway. and the span of the population affected by them. it must be proved that first petitioner is promoting or conducting a scheme for the making of quick or easy money. but also on the performance of the members recruited by him. the chance or opportunity of making quick or easy money must be shown to depend upon an event or contingency relative or applicable to enrolment of members into that scheme. given the large economic stakes held by such business operations. It may be noted that the Supreme Court. and it was held that the operation of Amway was illegal. there is sufficient inducement for aggressive enrolment of new members. Furthermore. the requirements of „Money Circulation Scheme‟ are not met. in examining the ingredients of the Section laid down a two-step test – firstly. the cautionary approach of the judiciary is inadequate. Therefore. to be eligible for the commission. and is pending before the Supreme Court. it can be broadly observed that the Indian Courts have opted a more cautionary approach than that of the USA. However. is that the money that the sponsor member at the top of the line gets depends upon members whom he enrolls or the members enrolled by him enroll. the company fixed such issues by settling large claims when it became mandatory. Amway simply cannot afford to lose this market. The company needs to take immediate steps to address the issue and minimize the possibility of such issues cropping up again. Mass media would be the perfect channel for this communication strategy. this kind of issues will repeatedly happen. what should it do to address the problem? It becomes clear that the company needs of send out a clear message about its activities and operations. The firm should learn from this experience and incorporate it into its expansion strategy in India. it is more of an “investment” than an expense. Public perception of Amway: “Reputation comes on foot. We realize that going forward. but given the significance of the problem at hand. It was again perceived as an admission of guilt. Now that the firm has realized that its operations have been likened to that of a pyramid scheme. The company needs to do a lot beyond these.How to React? The significance of the problem at hand: India is one of the most important developing markets for Amway. Corporate communications should engineer a solution to improve the company‟s reputation. Amway‟s Multi-level Marketing Experience in India Page 15 . But is it enough? This measure would obviously cost a lot of money. It is even more so in a developing country like India. The company already gave full page ads in all the leading newspapers in the state saying that the activities of Amway are not illegal. Kerala represents the few successful inroads (until now) the company has made in the country. The quick change in membership norms and payment requirements did not do enough to address the problem. However such short term fixes never helped. where the public is unaware of the company‟s activities. it sullied the firm‟s image even further. but goes on a horse” What comes to light is the fact that the company never focused on how it was perceived by the general public. on the contrary. In the past. and the society at large. Expansion of Branding: Amway already has a corporate branding strategy in place. it will go a long way in ensuring successful business operations in India. We need to raise public awareness about the company and its offerings. Cooperation with the authorities: The firm must cooperate with the authorities in dealing with the accusations leveled against its business. potential and current ABOs. Amway needs to set new standards and procedures when it comes to signing up new ABOs. We need to identify a larger role that Amway can play in the selection of ABOs. We need to explore the possibility of leveraging the branding resources to reach out to the firm‟s stakeholders. Because there is an incentive to add more members for increased benefits. The issue with Amway is that there is no real control over the members and their activities. How to deal with the current cases in the court is another thing that has to be thought out and solved. The company should accept the problem associated with MLM. We find that greater transparency would benefit both the public Image of Amway as well as the attitude of the authorities. Amway should pacify the authorities by making the promised changes to its business.customers. it hasn‟t been immune to the problems inherent in the strategy.that members‟ activities cannot be completely monitored or controlled. There should be no scope for people to game the system for personal gain. it is easy to see that the system can be misused by unscrupulous people for financial gain. It we are able to successfully reinforce the idea of Amway as a value offering company. It doesn‟t make sense for the company to distance itself from the ABOs accused of malpractice. We need the public to lose the idea of Amway being a networking scheme.The Challenge of MLM: While Amway has successfully deployed the MLM strategy all over the world. Amway‟s Multi-level Marketing Experience in India Page 16 . Amway‟s Multi-level Marketing Experience in India Page 17 . So there is a limit up to which they can play with it. this modus operandi of selling was what gave Amway significant advantages and lower costs. Will the problem become too severe that Amway has no option but to change the modus operandi? Let‟s wait n see. While the traditional Amway way is under fire.Other Channels: Is it time for Amway to explore some alternatives to MLM? Should it adopt new ways of Selling and Distribution? Should it go for online selling? Should it go for retail selling? The answer depends on the extent to which Amway is willing to fundamentally change its business. Exhibit 1: Products Amway‟s Multi-level Marketing Experience in India Page 18 . 5 B US$ 3.7 B US$ 1.Exhibit 2: Top 10 Direct Selling Companies Company Name Year Founded 2011 Revenue Avon Products Amway Herbalife Natura Vorwerk Mary Kay Tupperware Oriflame Nu Skin Enterprises Belcorp 1886 1959 1980 1969 1883 1963 1946 1967 1984 1967 US$ 11.9 B US$ 3.0 B US$ 2.6 B Exhibit 3: Business Model Amway‟s Multi-level Marketing Experience in India Page 19 .3 B US$ 10.1 B US$ 1.01 B US$ 3.6 B US$ 2.9 B US$ 2. Exhibit 4: Business Model Amway‟s Multi-level Marketing Experience in India Page 20 . Exhibit 5: Sales in India 1999 2000 2001 2002 2003 2004 2005 99 Cr 248 Cr 553 Cr 626 Cr 579 Cr 636 Cr 2006 768 Cr 2007 799 Cr 2008 1128 Cr 2009 1407 Cr 2010 1791 Cr 2011 2130 Cr 633 Cr Amway‟s Multi-level Marketing Experience in India Page 21 . wordpress.in/multi-level-marketing-and-indian-law-amway-cases-in-india-and-usa/ http://www.com/news/company_briefs/index.com/2012/11/15/amway-office-raids-in-kerala/ http://newindianexpress.wikipedia.Exhibit 6: A cartoon regarding multi-level marketing References: http://madlaw.ece http://en.com/industry-and-economy/marketing/article1480390.afaqs.ece http://amwayscam.html?id=52994_Amway+India+clocks+Rs+2130+crore+t urnover+in+2011 http://www.thehindubusinessline.com/states/kerala/article1335147.org/wiki/Amway Amway‟s Multi-level Marketing Experience in India Page 22 .
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